Strategic Human Resource Management Analysis of T.K. Maxx (Report)

This report provides a comprehensive analysis of the strategic human resource management (HRM) practices at T.K. Maxx, a retail store in the United Kingdom. The report begins with an introduction to strategic HRM and its importance, followed by an examination of T.K. Maxx's HR practices an...Read More

Strategic Human Resource
Management

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK...............................................................................................................................................1
1. Analysis of HR practices and policies within organisation against theoretical concept....1
2. Analysis of external forces and its impact on HR strategic decisions................................3
3. Analysis of the way in which HR functions is organised and practices and policies are
delivered.................................................................................................................................4
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
Strategic human resource management is referred to as tactic which specifies information
about various activities, executed to attract individuals and various things conducted by
administration to retain staff (Wright and McMahan, 2011). It is essential that appropriate
compensation and rewards are given by executive to members in respect to their performance.
HR duties are to conduct recruitment, selection, compensation, training and development to have
adequate manpower in firm (Wilson, 2015). Along this, they even need to take care about
discipline, payroll and conduct activities to enhance retention. Present report is based on T.K.
Maxx which is popular retail store situated in United Kingdom. This assignment consists
information about analysis of human resource practices to help management appropriate
concepts and models. It is necessary that employer analyze external force to acknowledge its
impact on system; thereby make adequate strategic decisions. This benefits them to frame
policies and organize activities legally and systematically.
TASK
1. Analysis of HR practices and policies within organisation against theoretical concept
HR managers in a firm introduce various practices in order to provide benefits to both
employees and employers (Brewster, 2017). It includes providing proper guidelines and direction
to workers for making them aware about objectives of business. In T.K. Maxx, it is a subsidiary
of American company named by TJX Companies, that deals in apparel and household goods
business. It offers a range of clothing, footwear, furniture and domestics products in many
countries. Currently, it has more than 550 stores where 1000 of workers are currently working
therefore, to gain contribution of them, in achievement of business objectives, HR managers used
to formulate various policies (Armstrong, 2011). For this purpose, they concern more on
designing proper workplace by recruiting best candidates in it and get right work from them.
This would help in getting an opportunity to provide best services to customers which ultimately
leads to increase competitive advancement as well. Through HR practices, they provide several
benefits to employees like training and development programs, reward and compensation,
performance appraisals etc. All these practices help in developing skills and abilities of
employees so that they become able to work as per requirement of business. In addition to this,
these functions aid employers to get retention of workers for long period of them. Managers
perform various activities for increasing productivity and profitability of firm which includes:-
1

 Set proper directions and implement successfully
 Introducing innovative staff at workplace
 Engage workers in group task Individual and develop good relations among them by
effective communication
 Update skills of employees by giving them proper training so that productivity of them
can be increased
 Drive performances of people at workplace
By applying these practices of HR in T.K. Maxx, employers get following benefits:-
 Policies and strategies helps in developing organisational culture.
 It also provides effective tools and techniques through which employers can manage
work of employees and provide them healthy working environment (Cascio, 2018)..
 These practices aid superiors to provide proper guidance to employees so that they can
contribute their more efforts in achieving success of goals in a higher manner. Compliance business with laws and legislations; supports managers to run organisation in
legal manner.
Human resource practices Human resource policies
 Recruitment and selection
 Induction training to new recruiters
 Employee integration strategies
 Training and development program to
existing and new employees
 Reward and Compensation planning
 Regulatory policies
 Flexible working hours
 Paid time off policies
 Business and travel reimbursement
 Setting proper direction
Human Resource policies and practices in T.K. Maxx are:
High Commitment HRM:
High commitment HRM includes various practices that are used by managers of T.K.
Maxx in order to improve performance of employees and organisation (Daley, 2012). Since it
offers jobs both on part-time and full-time workers, therefore, it sometime create issues for
managers of this retailer in framing different-different policies. Along with this, managing
relation among these workers and gain their contribution in the achievement of business
objectives refers to the major issue as well, that leads to increase high labour turnover rate. In
2

this regard, management need to develop effective HR policies context for reducing high
turnover of employees, increasing productivity of workers, developing organisational culture and
more (Boxall and Purcell, 2011). All these practices help in increasing profitability of business.
In TK Maxx, major duty of workers is to maintain the shop floor, manage inventories and entire
stock used for merchandise, in a well manner. Here, workers play an important role in giving out
best services to customers at its stores. All staff member, managers and supervisors get their as
per total working hours they have worked in a month. Some best practices of HR in this model
are :
 Hiring high skilled and experienced employees using various sources of recruitment and
selection process.
 Provide essential training and development program
 Continuous improvement in organisational system
 Flexible working hours for staff members
 Give healthy and safe working environment
 Review performance of employees on individual basis and provide appraisals to them
 Engage people in group task
Therefore, by using High Commitment practice of HRM, managers of T.K. Maxx gets
success in reducing absenteeism as well as gain high retention of employees (Storey, 2014). In
addition to this, present firm provides training and development to workers in regular interval of
time whenever any new changes are introduced in organisation. Through flexible working hours,
stress level and burden of work on staff members can be reduced, so that they can work in happy
and relax mood. Along with this, by performing group task, employees can develop good
relations with each other and share opinion (Bratton and Gold, 2017). This would help in
completing a task in short period of time as well as maintain positivity of workplace.
2. Analysis of external forces and its impact on HR strategic decisions
In business association, there are exists various internal and external factors that create
much impact on strategic decisions of human resource department of a company (Van Buren III,
Greenwood and Sheehan, 2011). It includes changing in employment laws, labour rights,
company's law and more, all these factors impact on HR policies of organisations. In context
3

with T.K. Maxx, it operates near about 225 stores in UK and 10 stores in other countries.
Therefore, managing such a large workplace and formulate policies as per different countries
law, impacts majorly on HR decisions of respective company, as shown below:
Unionised and Non unionised:
Unionised human resource states that every individual in a firm has right to demand
proper salary. In other terms, this force acts as bargaining liaison in which workers can negotiate
for increasing salaries, logged complaints against any discrimination, demand for getting healthy
and safe working environment etc. by forming all people in group (Brewster, 2017). In a
company, generally Union is formed to fight for rights of employees and providing them all
benefits that they have possessed. It demands a firm to make their business with all legal
formalities and employment legislations. According to Storey, in a firm no one has right to fire
an employee without a reasonable answer.
While, in context with Non unionised, in includes those workers who are not part of any
union, so they possess more right and benefits while working in an organisation (Wright and
McMahan, 2011). In any case, if a problem persisting to them, then can make their complaints
directly to regulatory bodies of a country.
Therefore, both of these kinds of workforce create much impact on decision making
procedure of human resource managers. In context with T.K. Maxx, this firm has provided all
types of rights and benefits to employees so there is no need of them to make any type of union.
High skilled or low skilled workforce:
A firm always wants to hire high skilled workers in organisation so that better outcomes
can be obtained. But generally, they have gained both low and high skilled employees so they
influence strategic decisions of human resource in a higher manner. It includes decisions like
what type of training and development programs are needed to introduce, recruitment and
selection procedure, rewards and compensation etc. If workers are less skilled then giving
appraisal to them is not possible for employers while high qualitative employees want extra
(Cascio, 2018). So, it will create inequality in working environment as well as various type of
conflicts also. Therefore, managers of T.K. Maxx are needed to formulate proper strategies so
that chance of occurrence of these types of issues can be reduced.
4

3. Analysis of the way in which HR functions is organised and practices and policies are
delivered
Management of every organization requires using appropriate tools and concepts to acknowledge
various tactics and techniques that help them to conduct business operations in efficient manner.
This also benefits them to frame adequate policies and strategies to make system function in
according to market conditions. Human resource of T.K. Maxx executes HRM practices and uses
Ulrich’s model which help them to organize activities and enhance market position.
Ulrich's model: This model was developed by David Ulrich which defines information
about various functions of human resource (Boxall and Purcell, 2011). Management duty is to
execute appropriate activities which help them to have sufficient manpower in firm in order to
attain vision and objectives. This tactic aim is to establish effective aspect and to transform goal
from strategic management to human resource (Daley, 2012). Administration of T.K. Maxx uses
this model which helps them to formulate appropriate policies and strategies which benefit them
to direct members and regulate departments in effective manner. As, David opinion was that in
large enterprises, HR functions are segregated in four parts which are defined below:
Administration expert: Employer responsibility is to have complete information about
various legislations, act and laws that are constituted by government. They require framing
policies and designing system to make it function in effective manner (Storey, 2014).
Administration even requires providing healthy and safe working environment to members.
Along this, they maintain record which has complete information about their existing staff and
previous members.
Change agent: This tactic defines that executive expand business and frame new goals
and objectives in respect to make system function in according to market conditions. (Roles and
Challenges of Line Manager, 2017). In T.K. Maxx, administration makes changes in policies and
firm in respect to deliver adequate things to people. For this, manager informs employees about
transformations that are made in company. Along this, training and development programs are
executed by superiors to enhance skills and abilities of members; thereby make them competent
for getting promoted to higher post and utilize opportunities (Lengnick-Hall, Beck and
Lengnick-Hall, 2011). This benefit firm to improve market position; thereby make success and
growth with time.
5

HR business partner: Management of T.K. Maxx duty is to establish connection with
shareholder, employees, suppliers, creditors, customers and other persons which directly or
indirectly influence on system functionality. It is essential that employer have good relations
with them which help them to retain them for longer period (Van Buren III, Greenwood and
Sheehan, 2011). Human resource unit of company take feedback from internal members and
external people to acknowledge quality of items and services. Along this, superiors also get
information about capabilities of employees which help them to anticipate overall functionality
of system and productivity level.
Role and challenges of line manager in delivery of HRM: Employer requires
executing human resource practices which include recruitment, selection, compensation, training
and development. It is essential that they have complete information about system and various
difficulties and challenges that they might face while conducting business operations in respect
to attain defined goals and objectives (Armstrong, 2011). These are various responsibilities that
are performed by HR of T.K. Maxx includes allocate resources, assign duties to workers as per
their skill, monitor the quality of work, keep middle managers, deal with employees’ issues and
more.
Challenges of line manager: These are various difficulties and problems that are faced
by line managers of TK Maxx to make system function effectively are as follows:
 Implement new policies at workplace
 Convince workers to accept changes and work as per requirement of business
 Motivational employees to give their high contribution in achievement of business goals.
 The most challenging role is to make policies as per part-time and full-time workers in
appropriate manner.
As it has been evaluated that to get high commitment of workers, line managers of TK
Maxx face issues related to formulate effective working policies, because it gives employment to
both part time and full time workers. Therefore, it is recommended to its managers establish
proper communication with both part-time and full-time staff members and bring awareness
among them about company's financial performance, strategy as well as operational matters
(Wright and McMahan, 2011). This would helps in conveying message to workers that they are
to be trusted and get equal important in achievement of business objectives. The managers also
need to include participation of workers to get their ideas and suggestion for improvement in
6

business policies, that ultimately leads to gain high competitive advantages. Therefore, all such
processes leads to gain high commitment of workers towards achievement of business goals.
CONCLUSION
From the above report, it may be comprehended that strategic human resource
management is essential concept which helps employer to have adequate workforce in
organization. It is necessary that appropriate HRM practices are used by administration to
manage members. Along this, manager even requires to formulate policies and strategies in
respect to government legislations and act which help them to make system function in legal
manner. Recruitment, selection, compensation, performance appraisal, training and
developments are various activities that are executed by employer. This helps them to have
skilled and competent staff in firm in according to achieve goals and objectives within defined
time. External forces that are unionized and non-unionized are analyzed by HR to acknowledge
their impact on system; thereby make appropriate decisions. Ulrich’s model is adequate
technique used by administration to have accurate information about HR business partner,
change agent, employee champion, administration expert. This help manager to anticipate about
their roles, responsibilities and challenges faced by them to make system function effectively.
7

REFERENCES
Books and Journals
Armstrong, M., 2011. Armstrong's handbook of strategic human resource management. Kogan
Page Publishers.
Boxall, P. and Purcell, J., 2011. Strategy and human resource management. Palgrave Macmillan.
Bratton, J. and Gold, J., 2017. Human resource management: theory and practice. Palgrave.
Brewster, C., 2017. The integration of human resource management and corporate strategy. In
Policy and practice in European human resource management (pp. 22-35). Routledge.
Cascio, W., 2018. Managing human resources. McGraw-Hill Education.
Daley, D. M., 2012. Strategic human resources management. Public Personnel Management,
pp.120-125.
Lengnick-Hall, C. A., Beck, T. E. and Lengnick-Hall, M. L., 2011. Developing a capacity for
organizational resilience through strategic human resource management. Human
Resource Management Review. 21(3). pp.243-255.
Storey, J., 2014. New Perspectives on Human Resource Management (Routledge Revivals).
Routledge.
Van Buren III, H. J., Greenwood, M. and Sheehan, C., 2011. Strategic human resource
management and the decline of employee focus. Human Resource Management Review.
21(3). pp.209-219.
8

Wright, P. M. and McMahan, G. C., 2011. Exploring human capital: putting ‘human’back into
strategic human resource management. Human Resource Management Journal. 21(2).
pp.93-104.
Online
Roles and Challenges of Line Manager, 2017. Online available
through<https://www.thebalancecareers.com/role-and-challenges-of-a-line-manager-2275752>
9